In 2025, Forrester Research faced a severe earnings collapse highlighted by a $83.9 million goodwill impairment triggered by a sustained decline in market capitalization and deteriorating contract bookings. The company responded with an 8% workforce reduction and office closures to control costs, incurring significant severance and lease impairment charges. Despite the net loss of $119.4 million, Forrester maintained positive operating cash flow, signaling operational cash generation amid restructuring efforts. The firm’s competitive moat, based on proprietary research and long-term client relationships, is challenged by evolving market conditions and softness in demand, posing risks to near-term profitability and asset valuations.